Opportunistic bond buyers stay local as government yields soar
Updated
Updated · Bloomberg · May 5
Opportunistic bond buyers stay local as government yields soar
6 articles · Updated · Bloomberg · May 5
BNY said US 30-year Treasury yields are above 5%, while 30-year gilt and bund yields are near multi-decade highs.
The bank said investors are trying to lock in elevated long-term returns but are avoiding cross-border purchases because currency swings could erase gains.
It linked the yield surge to oil-driven inflation fears, higher US borrowing estimates, UK election-related pressure and growing expectations of a European Central Bank rate hike.
With high yields and diverging central banks, are we on the brink of a new sovereign debt crisis?
As FX risk traps capital at home, what hidden opportunities are global bond investors missing?
How is the new era of geopolitics permanently reshaping risk and reward in global bond markets?